Vanguard ESG Global All Cap

ETF description

This ETF invests in companies from all over the world, focusing on firms that meet certain environmental, social, and governance (ESG) standards. The goal of this approach is to select businesses that are considered responsible in areas such as reducing their environmental impact, promoting social responsibility, and practicing good corporate governance. The ETF includes companies of various sizes, from large corporations to smaller firms, offering a broad exposure to global markets.

For investors who are concerned about sustainability and want to align their investments with their values, this ETF may be an appealing option. It aims to offer long‑term growth potential by investing in companies that are seen as leaders in ESG practices, while also providing diversification across regions and industries.

Issuer details

Vanguard is the largest provider of mutual funds and the second‑largest provider of ETFs in the world.

Vanguard is a major American investment management company headquartered in Malvern, Pennsylvania. It’s known for being the largest provider of mutual funds in the world and the second‑largest provider of ETFs after BlackRock’s iShares with over $8trn in global assets under management (as at June 2024). Vanguard was founded in 1975 by John C. Bogle and is notable for its unique ownership structure ‑ it is owned by its funds, which in turn are owned by their shareholders. This structure is designed to align Vanguard’s interests with those of its investors, helping to keep costs low.

Index details

The ESG Global All Cap index offers investors broad exposure to global companies of all sizes that meet high environmental, social, and governance standards. By integrating ESG criteria with a comprehensive market coverage, the index provides a balanced approach to sustainable investing, reflecting both global market performance and adherence to responsible business practices. Funds tracking this index are commonly used by those seeking to align their investments with ESG principles and by those looking to benchmark their sustainable investment strategies against a diverse and inclusive measure of market performance.